Hycroft Mining (NASDAQ:HYMC) announced on Thursday that it has opened a new investigation against illegal trading.
The company said that it has been working with Shareholder Intelligent Services, LLC (“ShareIntel”) for several months to review the trading of the Company’s common stock in order to track, identify, and monitor for potentially illegal short selling activities and deploy solutions to help combat any such activities.
“To date, ShareIntel’s analysis has identified reporting imbalances in Hycroft’s shares which may be the by-product of non-compliant or abusive short selling activity.”
“Based on the findings of ShareIntel’s analysis to date, we are deeply concerned that Hycroft may have been the target of a market manipulation scheme involving illegal short selling.
Hycroft’s Board and management are committed to protecting our investors and maximizing shareholder value, and we will take all actions necessary to ensure Hycroft is not the target of market manipulation.
We will continue to work with ShareIntel to combat potentially manipulative and egregious illegal short selling and trading activities to help ensure fair market conditions,” said President and CEO Diane Garrett.
“ShareIntel tracks and monitors critical broker-dealer and shareholder movements”, said David Wenger , President and Chief Executive Officer of ShareIntel.
“We look forward to continuing efforts to help Hycroft identify parties to potentially abusive and illegal naked short selling, implement action plans to mitigate such activity and help maximize shareholder ownership transparency.”
HYMC stock jumped +12% on the announcement.
Shares of the gold and silver mining company are down more than -54% in the past year.
More Companies Are Standing Up Against ‘Naked Short Selling’
Famous lawyer known for fighting against market injustices Wes Chrisitan says ‘Naked Shorting’ is a big worldwide problem.
Naked shorting is the illegal practice of short-selling shares that have not been affirmatively determined to exist, often times used to drive share prices to the ground.
Meta Materials announced in late June that it has retained the law firm of Christian Smith & Jewell, LLP to help investigate allegations of naked short selling of Meta Materials’ stock, MMAT.
“We have reviewed the preliminary report from ShareIntel, and as a result we have engaged the services of Christian Smith & Jewell,” the company said.
Mullen Automotive also provided shareholders with an update on its ‘naked shorting’ investigation stating the following:
“The company announced that it has retained Christian Attar, formally known as Christian Levine Law Group, and in partnership with Warshaw, Burstein, LLP, to combat naked short selling activities.
Based on reports Mullen has received from ShareIntel, the Company believes it may have been the target of a market manipulation scheme involving illegal naked short selling of its common stock and has decided to investigate and expose any potential wrongdoing.”
More and more companies are coming out against market manipulation through the illicit practice of ‘naked short selling’ with Hycroft Mining being the latest example.
Market News Published Daily 📰
Join the newsletter ⬅️ to receive daily stock market news, business news and updates straight to your inbox; more than 10,000 readers have joined!
THANK YOU to all of our blog sponsors, this year we’ve been able to increase our email sends and signup slots as well as introduce push notifications.
Franknez.com is the media site that keeps retail investors informed.
- Gain access to EXCLUSIVE FrankNez articles you won’t find here.
- Become part of a private and safe Discord community, just for retail investors.
- Get drawn at the end of the year for holiday giveaways.
Recommended For You ✨
- A Massive Bank Now Closes Several Branches in Florida
- Wells Fargo is Now Freezing Bank Accounts in New Scandal
- Florida Now Has Massive Departures As Hundreds of Thousands Leave
- A US Company Now Declares An Unexpected Bankruptcy
- Massive Layoffs in California Now Underway Prior to Holidays
- The US Treasury Direct is Now Freezing Customer Accounts